 SECTORAL STRATEGIES

In this chapter, the sectoral programmes of the Eighth Plan are reviewed and the strategies consistent with the objectives already spelt out discussed in some detail.

4.1. Development of the North East

There are many areas such as the North-Eastern region where the benefits of economic development have not accrued in the same measure as in the rest of the country. Some of these regions are endowed with natural resources which could be exploited to their advantage. The socioeconomic development of these regions is crucial for the progress of the country.

The Ninth Plan will focus attention on identifying the gaps in these regions in terms of power, communications, railways, roads, education, agriculture etc. so that efforts could be made to bridge the gaps through supportive measures to enable these regions to join the mainstream of economic development of the country.

The development programmes for these regions will aim at creation of employment opportunities, provision of basic minimum services, promoting efforts towards land and water management and flood control. Communications, credit. availabaility, industrialisation, tourism, exports, transport infrastructure, power etc. will be accorded priority. Wherever necessary and relevant, border area development will be given due attention. Special efforts will be made to complete. ongoing projects in these regions.

There will be a closer inter-action between the Central agencies and the States in these regions. The Central agencies concerned with the development of these regions will be suitably strengthened to be able to fulfil the task of accelerated development of each of these regions.

4.2. Agriculture and Allied Activities

4.2(a) Agriculture

Agriculture Sector has a vital place in the economic development of the country as it contributes 29.4% of GDP and employs about 64% of the workforce. Significant strides have been made in agriculture production towards ensuring food Security. Foodgrain production registered an annual growth rate of 3% during 1984-85 to 1994-95. There has been a significant improvement in agriculture

productivity which has helped in reducing rural poverty. Though capital formation (1980-81 prices) in agriculture grew at the rate of 6.05% during 1989-90 to 1994-95, its share in the total gross capital formation declined to 10.85% per cent from 18.86% recorded in 1980- 81. Public Sector capital formation in agriculture declined during this period, showing a negative annual growth rate of 0.13% while private sector capital formation registered an annual growth rate of 8.43%. The infrastructure targets set for the Eighth Plan could not be fully achieved.

Foodgrain production performed well rising from 168.4 million tonnes in 1991 to an expected level of 196.0 million tonnes in the terminal year of the Eighth Plan period. Commercial crops like oilseeds, sugarcane and Cotton performed well during the Eighth Plan, excepting jute and Mesta. Production of non-food sector including horticulture crops, milk, egg, fish, poultry products recorded a significant growth. The trend in the growth of foodgrains production, particularly in high productivity areas like Haryana and Punjab is on the decline. Agricultural productivity in the Eastern region, excepting West Bengal, is low, and it is mainly attributed to weak infrastructure.

The agriculture sector is expected to register an annual growth rate of 3.5% while foodgrain production is expected to register an annual growth of 2.5%. Allied sectors such as horticulture including fruit & vegetables, fisheries, livestock and dairy will continue to register acceleration in growth during the Ninth Plan period.

In the Ninth Plan, targets will be realised through a regionally differentiated strategy based on agronomic, climatic and environment- friendly- conditions. At the macro level, the agriculture development strategy will be differentiated by broad regional characteristics of agro economic situation as follows:

North-Western High Productivity Region: The strategy will be to promote diversification and high value crops and to strengthen strong linkages with the agro-processing industry and exports and creation of basic infrastructure.

Eastern Region with abundant water: Productivity in this region is very low despite abundant water availability; the strategy for this region will be to exploit the productivity potential of this region, bringing the yield to the levels of high productivity States of Haryana and Punjab. The major thrust will be on flood control, drainage management, improvement of irrigation facilities, input delivery systems supported by adequate agricultural credit and extension services.

Water scarce region - Peninsular India including Rajasthan : The productivity in this' region is low because of water scarcity. The emphasis will be on development of efficient water harvesting and conservation methods and technologies, suitable irrigation packages based on watershed approach and promoting an appropriate farming system.

Ecologically fragile regions including Himalaya & Desert areas : The thrust will be on the development of eco-friendly agriculture in these regions.

Basic Inputs

Timely and adequate availability of inputs for agriculture and agriculture-related infrastructure will receive special attention. The regional programmes will be formulated in such a manner as to ensure provision of inputs to the farmer, particularly in the remote, hilly, backward and tribal areas. Augmentation of irrigational facilities is necessary to increase the gross crop areas even under rainfed conditions and increasing cropping intensity in agriculture areas and assigning priority to the completion of ongoing major and medium irrigation projects. Fertiliser consumption in low- use areas and crops will be stepped up besides reducing of inbalances in the use of plan untrients and adoption of integrated pest management and use of biotic agents. For this process to be effective, it will be necessary to initiate a wide-spread programme of soiltesting across the various agro-climatic regions.

There is urgent need to reduce dependence on fertilizer imports by improving output and productivity in fertilizer production units through better capacity utilisation and modernisation wherever necessary Importance will be given to improvements in energy efficiency in the fertilizer sector with a view to reducing the cost of production of fertilizers. Emphasis will be given to promote a higher seed replacement rate. In the post GATT period, new plant variety protection rights make it necessary to augment facilities for registration of Varieties. Implementation of the National Watershed Development Programme will be intensified for the development of rainfed farming areas.

Greater credit flow will be ensured to meet the investment requirements of the farming community for stepping up the growth of production. Efforts will be made to ensure timely and adequate availability of credit, particularly to small and marginal farmers and tribal farmers at reasonable rates so as to enable them to make investments necessary for higher production. Crop insurance scheme as an instrument of providing security for marginal and small farmers in rainfed areas will also receive attention during the Ninth Plan.

In every district, the RIDF must be used to cover projects which encourage group of small farmers, artisans

and landless labourers to organise for skill upgradation, processing, transport infrastructure, quality improvement or centred around large agro based projects or identified sources of regional, national and export demand.

The research efforts will be accelerated through bio-technology, micro-biology, genetic improvement of crops including hybrid technology, genetic upgradation of animal resources, improvement of fish genetic stock and postharvest technology, etc. In agricultural education, thrust will be on human resource development through upgrading teaching facilities. The existing infrastructure for transfer of technology will be made more effective and responsive to meet farmers needs.

4.2(b) Allied Sectors

Efforts will be made towards proper blending of technology, credit, scientific management, post-harvest infrastructure and marketing for accelerated growth of horticulture. Removing of various constraints in horticulture development, including low productivity of perennial fruits and spices will receive special attention. Post- harvest infrastructure will be accorded a high priority AS, it accounts for 20 to 40% losses at different stages of storage, grading, packing etc.

The plantation sector provides direct and indirect employment for about 42 million people, besides generating downstream economic activities. The main emphasis will be on increasing productivity, accelerating replanting activities, rapid expansion in non-traditional areas, improvement in packaging and quality assurance.

Efforts will be made to intensify R&D activities Forproduction of quality fish seeds and feed for augmenting fish production and productivity, besides checking indiscriminate growth of brackish water farms and prevention of over exploitation of coastal fisheries and development of basic marketing infrastructure.

Animal Husbandary and Dairying will receive greater attention for development during the Ninth Plan as this, sector plays an important role in generating employment opportunities and supplementing incomes of small marginal farmers and landless labourers, especially in the rainfed arid drought-prone areas. Effective control of animal diseases, declaration of disease-free zones, scientific management of genetic stock resources and upgration, breeding, quality feed and fodder, extension services, enhancement of production, productivity and profitability of livestock enterprise will be given greater attention.

Some of the critical areas requiring priority attention are improvement and expansion of breeding

services, upgradation of: health care services, fodder and feed activities, strengthening of training and research facilities, adequate credit and marketing support, extension of processing facilities and measures for harnessing the energies of private entrepreneurs, cooperative institutions, self-help groups and other voluntary agencies. Such well coordinated and comprehensive approach will induce the farmers to take up improved breeding, feeding and sceintific management of livestock and all these will bridge the gap between potentialities and actual performance of this crucial sector.

Aaro exports

Agricultural exports will receive special attention as this area offers greater potential for increasing farm incomes, tackling unemployment and earning foreign exchange. Development and promotion of markets and products, brand names and dissemination of information among exporters, improvement in quality and packaging, encouragement to export-oriented units and backward linkages with growers are the important areas which will receive greater attention.

Cooperatives

Efforts will be made to evolve an environment in which cooperatives become efficient, viable and competitive. This will be achieved through professionalisation, diversification of activities, including of market opportunities and effective recovery systems

Efforts will be made towards structural changes that may be necessary in the case of non-credit cooperatives to facilitate technology upgradation and acquisition of capabilities, product and design development, quality improvement, marketing human resources development etc.

In every district, RIDF will be used to involve Projects which encourage groups of small farmers, artisans or landless labourers to organise for skill upgradation processing, transport infrastructure or quality improvement, centred around large agro-based projects or identified centres of regional, national and export demand.

4.3. Rural Development

Over the last two decades there has been a considerable decline in the incidence of rural poverty. However, a large number of persons continue to live below the poverty line. Hence, there is a need for continued direct State intervention for poverty alleviation. While the programmes for self employment and supplementary wage employment would continue in the Ninth Five Year Plan, these would be redesigned in order to make them more

effective as instruments of poverty alleviation. They would also be integrated with the various sectoral programmes as well as the area development programmes within the umbrella of the Panchayati Raj Institutions.

To make self employment programmes more effective in the Ninth Plan, there will be a shift in strategy under IRDP, from an individual beneficiary approach to a group and/or cluster approach. This would facilitate higher Investment levels to ensure viability of projects. Further the ingredients of this approach would include development of skills of the poor through an inbuilt training component, upgradation of technology, establishment of forward and backward linkages, availability of appropriate Infrastructure and market tie ups.

The Training of Rural Youth for Self Employment (TRYSEM) will. be revamped in its design, curriculum and method of training in order to improve the employment opportunities of the poor. It will focus on activities in which the rural youth are already engaged and where there exists a potential for skill upgradation or else on activities which would enhance production under the groupcluster approach.

The artisans in rural areas, despite their rich heritage and skills, belong to the poverty group. The existing programme aimed at upgrading their skills and improving their production capabilities, by supplying them with modern tool kits, would be strengthened and expanded in the Ninth Plan. This would facilitate enhancing the productivity and income levels of the rural artisans.

Development of Women and Children in Rural Areas (DWCRA) which is based on a group approach, has been successful in empowering women and in improving their economic status, in selected States. A mechanism for replicating the successful DWCRA groups would be evolved. Thrift will be the starting point for the formation of Self Help Groups (SHGs). A greater integration of DWCRA with IRDP and TRYSEM will be attempted to provide womens, groups with greater access to financial resources and training.

A new initiative for social mobilization will be taken up in the Ninth Plan, for creating self-managed institutions of the poor. A mechanism for training of social animators to assist the poor to form their own organisations and articulate their felt needs and aspirations would be taken up.

The Ninth Plan will introduce a countrywide Employment Assurance Scheme. There are two major wage employment programmes namely the Jawahar Rozgar Yojana (JRY) and the Employment Assurance Scheme (EAS) in operation. Both these schemes provide employment for a short duration

in the form of casual manual work, during the lean agricultural season and also create economic infrastructure and community assets in the rural areas. However, the JRY is being implemented through the panchayats with funds going to every village panchayat for taking up small works according to the felt needs of the people. On the other hand under the EAS, which is a demand driven scheme, funds flow to the district administration and they are required to take up public works for generation of assured employment of upto 100 days in the lean agricultural season. So far the EAS is being implemented in 3206 blocks of the country but will be universalised by 1997-98. In the Ninth Plan this scheme would also be implemented through the Panchayati Raj Institutions. A specific provision for the maintenance of assets would be made in the wage employment programmes.

The scheme of Indira Awaas Yojana (IAY) will receive a greater thrust in the Ninth Plan as it is one of the identified basic services for complete coverage in a time bound manner. The scope of the Million Wells Scheme which provides for construction of open irrigation wells, tanks and water harvesting structures will now be expanded to include borewells/tubewells and lifting devices.

The area development programmes of DPAP and DDP will be based on the preparation of complete treatment, plans along watershed lines. These would include works of drainage, land development and terracing as also afforestation, horticultural development, pasture development, and crop demonstration. This approach would mitigate the rigours of drought, and also generate additional employment. Training of functionaries in area planning and watershed management will be expanded.

Rural Poverty is largely among the landless and marginal farmers. Therefore access to land remains a key element of the antipoverty strategy in rural areas. The programme of action for Land Reforms in the Ninth Plan would include the following :

(a) detection as well as redistribution of ceiling surplus land

(b) updation of land records on a regular basis

(d) consolidation of holdings

(e) preventing alienation of tribal lands

(f) providing access on a group basis to the poor on wastelands and common property resources.

(g) leasing-in and leasing-out of land will be permitted within the ceiling limits

(h) preference to women in the distribution of ceiling surplus land and legal provisions for protecting their rights on land.

Scant attention has been paid to the fact that there are some laws and policies which militate against the interests of the poor. These would be identified and suitable modifications attempted.

Seven Basic Services have been identified for priority attention with an all out effort for their complete coverage in a time bound manner. These are safe drinking water, availability of primary health service facilities, universalisation of primary education, provison of public housing assistance to all shelterless poor families, nutritional support to children, connectivity of all villages and habitations by roads and public distribution system targetted to the poor. Policies and programmes relating to these areas would be given a thrust in the Ninth Plan.